Ending an oil and gas lease can be complicated, but Pennsylvania may soon recognize the implications of the landowner’s decision to do so, according to The Legal Intelligencer.

The current case in question is Harrison v. Cabot Oil & Gas, 96 A.3d 988 (Pa. 2014), but it is not the first Pennsylvania case to raise the equitable extension issue.

If the landowner, or lessor, files a lawsuit to invalidate a lease that is later declared against the lessor by the lessee, the oil and gas companies, or lessees, may continue production due to the interference. However, the primary term of the lease may be extended to cover the period of uncertainty, which impacts both the lessors and the lessees. States who currently allow for this include Montana, Texas, Oklahoma, Louisiana, Michigan, Arkansas, Illinois and Ohio.

From The Legal Intelligencer:

“Given the fact that lawsuits to invalidate leases may take years to litigate to a final conclusion through appeals, the extension of a lease after an unsuccessful litigation will have a significant impact on both lessors and lessees.”

Via: The Legal Intelligencer > Pa. High Court May Extend Leases Impacted by Unsuccessful Litigation